TCS Q2 Results Today: Profit, Margins Likely To Be Muted QoQ; H1B Visa Impact, Dividend In Focus

TCS Q2 Results: Shares of Tata Consultancy Services (TCS) traded slightly higher on Thursday ahead of its July–September quarter (Q2FY26) results, set to be announced later in the day after market hours.

The stock was last seen at Rs 3,027.10 on the NSE, up marginally.

TCS will kick off India’s Q2 earnings season, which is expected to be a challenging one for IT companies, marked by subdued discretionary spending, elongated deal cycles, cautious client sentiment, and ongoing disruption from AI-driven technology shifts.

According to a Hindu BusinessLine report citing sources, TCS management may skip its scheduled press conference—originally planned for 5:30 PM—following the result announcement.

Q2 Results Preview

Brokerages expect TCS’ operating margin to remain flat at around 24.5% or decline by about 20 basis points sequentially, pressured by wage hikes, higher investments, restructuring costs, and lower utilisation.

Data compiled by LSEG shows analysts project 1.3% year-on-year (YoY) growth in revenue and 6% YoY growth in profit. Sector-wide performance is expected to remain muted, as global clients continue to rein in spending amid macroeconomic and tariff uncertainties, according to Reuters.

• Centrum Broking expects EBIT margin improvement on the back of cost optimisation, while noting that management commentary on demand outlook and deal pipeline will be key.
• Ambit Capital anticipates weaker deal flow compared to the previous quarter and expects cautious commentary on smaller verticals such as retail, telecom, and auto. The brokerage added that while BFSI demand may show resilience in the U.S., it could be offset by softness in the U.K. and EU.

Within the IT index, TCS is among five stocks rated “Buy”, while most others carry a “Hold” recommendation, according to LSEG data.

Dividend Outlook

The TCS Board of Directors will also consider declaring a second interim dividend for FY26. The record date to determine shareholder eligibility has been set for Wednesday, October 15.